Consolidated Thompson (TSE:CLM) – New Mine “Low-Cost” With a “Long Life”
Consolidated Thompson Iron Mines (TSE:CLM), the exploration and development company based in Montreal, just started production at its new iron ore mine in northern Canada. With shipments underway soon, the company is already considering how to expand the mine in the near future.
For more details, we turn to Chris Mayer, Agora Financial’s editor of Mayer’s Special Situations:
“Consolidated Thompson (TSE:CLM) is building a great iron ore mine. Last week, we got news that production has already begun and first shipments will commence in May of this year.
“I’m excited about seeing some results from the mine. It should be a low-cost mine with a long life. Plus, CLM has the potential to double production by 2012.
“Initially, we’re looking at 8 million tons of iron ore. But the company could boost production to 16 million in two years. Currently, the company is studying the possibility. As CEO Richard Quesnel said, ‘The market is there. If we could produce 20 million tons today, we would sell 20 million tons.’”
With a strong market for iron ore in place, Mayer believes Consolidated Thompson has plenty of potential to profit from rising commodity prices. You can read more of his opinions by subscribing to his Mayer’s Special Situations, which can be found at the Agora Financial research page here.
To see Chris Mayer speaking in person, consider attending the Agora Financial Investment Symposium, being held in Vancouver. You can find additional information about the July event here.
Best,
Rocky Vega,
The Daily Reckoning
[Nothing in this post should be considered personalized investment advice. Agora Financial employees do not receive any type of compensation from companies covered. Investment decisions should be made in consultation with a financial advisor and only after reviewing relevant financial statements.]
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